Levels of Consumer Decision making & A model of Consumer Decision making in Consumer Behaviour.

This presentation explains the 'levels of consumer decision making and its model in consumer behaviour' .

1. Levels of Consumer Decision Making & A Model of Consumer Decision Making Presented by: Ajit Kumar Gautam MBA-IB(3 rd Sem )

2. Consumer Decision Making Process by which consumer identify their needs, collect information, evaluate alternatives and make purchase decision. These actions are determined by psychological and economical factors, and are influenced by environmental factors such as culture, group, and social values.

3. Levels of consumer decision making Extensive Problem Solving Limited problem Solving Routinized Response Behaviour

4. Consumer Involvement Routine Response Behaviour Limited Decision making Extensive Decision making Less Involvement High Involvement

5. Routine Response Behaviour Little involvement in selection process May stick with one brand Quick Decision Frequently purchase low cost goods Examples are soap , shampoo etc

6. Limited Decision Making Moderate involvement in selection process Purchasing process is shorter Evaluation of few alternative brands Examples are clothing, cosmetics

7. Extensive Decision Making High level of involvement High cost goods Long time to decide Evaluation of many brands Examples are buying a car or a computer

8. A Model of Consumer Decision Making

9. Consumer decision making process Need of Recognition Information Search Evaluation of Alternatives Purchase Decision Post-Purchase Behaviour

10. Need of Recognition : Result of an imbalance between actual and desired states. E.g feeling bored is actual state and Listen music/call a friend is desired state. Information Search : Recall information in memory called as internal search . Seek information in outside environment like web, books, articles. Evaluation of alternatives : Consumer use several attributes when they are evaluating alternative products and they are more interested in a specific attributes. Ex. Price, Quality, availability, service. Purchase decision : To “ Buy” or “not to buy”. Determine which attributes are most important in influencing Consumer’s choice.

11. Post – Purchase Behaviour The purchasing process does not end when consumer buys a product. After the purchase consumer tend to evaluate their experience to decide whether they ‘ satisfied ’ or ‘ dissatisfied’ . The information will be used in decision making. The performance of the product or services will be compare with consumer’s expectations. a) Perceived performance meeting expectations. b) Perceived performance exceeds expectations c) Perceived performance lower than expectations.